UBS Capital, the private equity arm of UBS bank, said today it has bought Dutch mobility aids supplier ZVN Zorgvoorzieningen Nederland for E150m, including debt.
UBS Capital believes the renamed Welzorg group can benefit from a European-wide shift towards in-home care for the elderly and disabled. Group sales rose by an impressive 40% over the last 12 months but UBS is confident that growth rate can be sustained over the next three to five years.
Welzorg was previously owned by three venture capitalists – Parcom Ventures, Aplinvest, Residentie Participaties – and management. The group was sold to these investors following its privatisation by the Dutch government in 1995.
Welzorg's government-sector background means the group continues to get most of its revenue from supply contracts with local councils. The group's management believes this will change as group moves into the private provision of mobility aids paid for by health insurance taken out by individuals.
The purchase of Welzorg is the ninth investment completed by UBS Capital in the Benelux region.